BILL NUMBER: SB 1360	CHAPTERED  09/27/00

	CHAPTER   750
	FILED WITH SECRETARY OF STATE   SEPTEMBER 27, 2000
	APPROVED BY GOVERNOR   SEPTEMBER 26, 2000
	PASSED THE SENATE   AUGUST 31, 2000
	PASSED THE ASSEMBLY   AUGUST 30, 2000
	AMENDED IN ASSEMBLY   AUGUST 29, 2000
	AMENDED IN ASSEMBLY   AUGUST 18, 2000
	AMENDED IN SENATE   MAY 16, 2000
	AMENDED IN SENATE   APRIL 10, 2000
	AMENDED IN SENATE   FEBRUARY 29, 2000

INTRODUCED BY   Senator Hayden
   (Principal coauthor:  Assembly Member Villaraigosa)

                        JANUARY 14, 2000

   An act to amend Sections 35400 and 35401 of the Education Code,
relating to the Los Angeles Unified School District.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1360, Hayden.  Los Angeles Unified School District.
   Existing law, until January 1, 2001, authorizes the Los Angeles
Unified School District's Director of the Internal Audit and Special
Investigations Unit to subpoena witnesses, administer oaths or
affirmations, take testimony, and compel the production of all
information, documents, reports, answers, records, accounts, papers,
and other data and documentary evidence deemed material and relevant
to any inquiry or investigation undertaken by the director in the
performance of his or her duties.  Existing law requires the director
to submit a report to the Legislature by July 1, 2000, and a final
report by December 1, 2000, regarding the use and effectiveness of
the subpoena power.
   This bill would extend those provisions and the inspector general'
s authority to conduct investigations to January 1, 2005, and would
revise the name of that unit to the Office of the Inspector General
and the title of the director to the inspector general.  The bill
would authorize the inspector general to compel the production of
data and documentary evidence deemed material, relevant, and that
reasonably relate to an inquiry or investigation when he or she has a
reasonable suspicion that a law, regulation, rule, or district
policy has been or is being materially violated.
   The bill would require the inspector general to submit annual
interim reports to the Legislature by July 1 of each succeeding year
through 2004 and would extend submission of the final report to
December 1, 2004.  The bill would specify the subject matters to be
addressed in the reports.
   The bill would provide that, with certain exceptions, any
disclosure of information by the inspector general or that office
that was acquired pursuant to a subpoena of the private books,
documents, or papers of the person subpoenaed, is punishable as a
misdemeanor, thereby creating a state-mandated local program.
  The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state.  Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 35400 of the Education Code is amended to read:

   35400.  (a) The Los Angeles Unified School District's Inspector
General of the Office of the Inspector General is authorized to
conduct investigations, subpoena witnesses, administer oaths or
affirmations, take testimony, and compel the production of all
information, documents, reports, answers, records, accounts, papers,
and other data and documentary evidence deemed material and relevant
and that reasonably relate to the inquiry or investigation undertaken
by the inspector general when he or she has a reasonable suspicion
that a law, regulation, rule, or district policy has been violated or
is being violated.  For purposes of this section, "reasonable
suspicion" means that the circumstances known or apparent to the
inspector general include specific and articulable facts causing him
or her to suspect that a material violation of law, regulation, rule,
or district policy has occurred or is occurring, and that the facts
would cause a reasonable officer in a like position to suspect that a
material violation of a law, regulation, rule, or district bulletin
has occurred or is occurring.
   (b) Subpoenas shall be served in the manner provided by law for
service of summons.  Any subpoena issued pursuant to this section may
be subject to challenge pursuant to Chapter 2 (commencing with
Section 1985) of Title 3 of Part 4 of the Code of Civil Procedure.
   (c) For purposes of this section, Sections 11184, 11185, 11186,
11187, 11188, 11189, 11190, and 11191 of the Government Code shall
apply to the subpoenaing of witnesses and documents, reports,
answers, records, accounts, papers, and other data and documentary
evidence as if the investigation was being conducted by a state
department head, except that the applicable court for resolving
motions to compel or motions to quash shall be the Superior Court for
the County of Los Angeles.
   (d) Notwithstanding any other provision of the law, any person
who, after the administration of an oath or affirmation pursuant to
this section, states or affirms as true any material matter that he
or she knows to be false is guilty of a misdemeanor punishable by
imprisonment in a county jail not to exceed six months or by a fine
not to exceed five thousand dollars ($5,000), or by both that fine
and imprisonment for the first offense.  Any subsequent violation
shall be punishable by imprisonment in a county jail not to exceed
one year or by a fine not to exceed ten thousand dollars ($10,000),
or by both that fine and imprisonment.
   (e) The inspector general shall submit an interim report to the
Legislature by July 1, 2000, annual interim reports by July 1 of each
succeeding year through 2004, and a final cumulative report by
December 1, 2004, on all of the following:
   (1) The use and effectiveness of the subpoena power authorized by
this section in the successful completion of the inspector general's
duties.
   (2) Any use of the subpoena power in which the issued subpoena was
quashed, including the basis for the court's order.
   (3) Any referral to the local district attorney or the Attorney
General where the district attorney or Attorney General declined to
investigate the matter further or declined to prosecute.
   (f) This article shall remain in effect only until January 1,
2005, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2005, deletes or extends
that date.
  SEC. 2.  Section 35401 of the Education Code is amended to read:
   35401.  (a) If the inspector general determines that there is
reasonable cause to believe that an employee or outside agency has
engaged in any illegal activity, he or she shall report the nature
and details of the activity on a timely basis to the local district
attorney or the Attorney General.
   (b) The inspector general shall not have any enforcement power.
   (c) Every investigation shall be kept confidential, except that
the inspector general may issue any report of an investigation that
has been substantiated, keeping confidential the identity of the
individual or individuals involved, or release any findings resulting
from an investigation conducted pursuant to this article that is
deemed necessary to serve the interests of the district.
   (d) This section shall not limit any authority conferred upon the
Attorney General or any other department or agency of government to
investigate any matter.
   (e) Except as authorized in this section, or when called upon to
testify in any court or proceeding at law, any disclosure of
information by the inspector general or that office that was acquired
pursuant to a subpoena of the private books, documents, or papers of
the person subpoenaed, is punishable as a misdemeanor.
  SEC. 3.  No reimbursement is required by this act pursuant to
Section 6 of Article XIIIB of the California Constitution because the
only costs that may be incurred by a local agency or school district
will be incurred because this act creates a new crime or infraction,
eliminates a crime or infraction, or changes the penalty for a crime
or infraction, within the meaning of Section 17556 of the Government
Code, or changes the definition of a crime within the meaning of
Section 6 of Article XIIIB of the California Constitution.
